Q12
Discuss the rationale of the Production Linked Incentive (PLI) scheme. What are its achievements ? In what way can the functioning and outcomes of the scheme be improved ? (Answer in 250 words) 15
हिंदी में प्रश्न पढ़ें
उत्पादन संबद्ध प्रोत्साहन (पी एल आई) योजना के तर्कधार की विवेचना कीजिए। इसकी क्या उपलब्धियाँ हैं ? किस प्रकार इस योजना की कार्य-पद्धति तथा परिणामों में सुधार किया जा सकता है ? (उत्तर 250 शब्दों में दीजिए)
Directive word: Discuss
This question asks you to discuss. The directive word signals the depth of analysis expected, the structure of your answer, and the weight of evidence you must bring.
See our UPSC directive words guide for a full breakdown of how to respond to each command word.
How this answer will be evaluated
Approach
The directive 'discuss' requires a balanced examination of the PLI scheme's rationale, achievements, and improvement pathways. Structure as: brief introduction defining PLI → three body paragraphs addressing each sub-question (rationale, achievements, improvements) → conclusion with forward-looking synthesis. Maintain analytical balance across all three components without overemphasizing any single aspect.
Key points expected
- Rationale: Import substitution, reducing China dependency, attracting FDI, integrating India into global value chains, employment generation, and achieving $5 trillion economy target
- Achievements: ₹2.5 lakh crore investments committed, 8 lakh direct jobs created, Apple-Foxconn ecosystem in India (14% global iPhone production), Samsung's Noida expansion, pharmaceutical API manufacturing revival
- Sector-specific outcomes: Electronics (mobile phones), pharmaceuticals (APIs), textiles, food processing, auto components, solar PV modules
- Improvement areas: Faster disbursement mechanism, MSME inclusion, skill development alignment, export competitiveness beyond subsidies, sunset clause clarity
- Critical gaps: Limited backward integration in semiconductors, import dependence on raw materials, uneven sectoral performance, environmental sustainability concerns
- Way forward: Linkage with PM MITRA parks, design-led PLI, R&D incentives, circular economy principles, and WTO-compliant restructuring
Evaluation rubric
| Dimension | Weight | Max marks | Excellent | Average | Poor |
|---|---|---|---|---|---|
| Demand-directive understanding | 20% | 3 | Addresses all three components (rationale, achievements, improvements) with equal analytical depth; recognizes 'discuss' requires balanced exposition rather than advocacy; distinguishes between design intent and actual outcomes | Covers two components well but superficially treats the third; treats question as descriptive rather than analytical; conflates rationale with achievements | Misses one or more sub-questions entirely; confuses PLI with other schemes (MEIS, SEZ); writes generic essay on manufacturing without scheme-specific focus |
| Content depth & accuracy | 20% | 3 | Precise coverage of 14 notified sectors; accurate investment/employment figures (NITI Aayog/Ministry data); correct identification of scheme duration (2020-2027); nuanced critique of implementation challenges | Basic sector identification with approximate figures; conflates PLI 1.0 with 2.0 extensions; mentions achievements without quantitative backing; superficial treatment of limitations | Factual errors (wrong ministry attribution, incorrect year of launch); confuses PLI with Production Linked Incentive for semiconductors (different scheme); no sector-specific detail; outdated or invented statistics |
| Structure & flow | 20% | 3 | Clear tripartite structure matching question demands; smooth transitions between rationale-achievements-improvements; effective signposting; maintains 250-word discipline with proportional allocation (~80 words per section) | Recognizable structure but uneven section lengths; abrupt transitions; some repetition between achievements and rationale; minor word limit deviation | Disorganized or linear narrative without section breaks; illogical sequencing; severe imbalance (e.g., 150 words on rationale, 50 on improvements); exceeds word limit significantly or grossly undershoots |
| Examples / case-law / data | 20% | 3 | Specific data: ₹1.97 lakh crore outlay, 14 sectors, Apple-Foxconn Tamil Nadu/Karnataka operations, Samsung's $4 billion investment, pharmaceutical API clusters in Hyderabad/Visakhapatnam, PLI for drones (2022), recent ₹20,000 crore IT hardware expansion | Generic mention of 'mobile manufacturing growth' without company names; approximate investment figures; one or two sector examples without specificity; no recent updates (post-2022) | No concrete examples; only mentions 'various sectors' without naming any; no quantitative data; examples from unrelated schemes (Make in India generic) |
| Conclusion & analytical edge | 20% | 3 | Synthesizes PLI with broader industrial policy (National Manufacturing Mission, semiconductors); addresses sustainability/export competitiveness tension; suggests institutional reforms (NITI Aayog monitoring); forward-looking without being speculative | Standard summary of points made; generic 'government should implement properly' recommendation; no integration with wider economic strategy; optimistic but unsupported closing | No conclusion or abrupt ending; repetitive summary without synthesis; unrealistic claims (India becoming manufacturing superpower by 2025); no connection to Atmanirbhar Bharat or Viksit Bharat 2047 |
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